NetSuite for Manufacturers

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1 NetSuite for Manufacturers KEY BENEFITS Complete manufacturing business process support spanning the full production cycle Real-time visibility throughout your entire organization, from sales to operations to invoicing Integrated business management with one endto-end solution, eliminating integration hassles Cost savings and fast ROI from reduced IT infrastructure and faster time to market Customizability to meet your unique business needs or integrate with your existing applications and processes NetSuite: The Integrated Application to Manage Your Business NetSuite is a complete solution for manufacturing organizations that require inventory management with dynamic replenishment, production planning, warehouse management, financial accounting and costing, customer and partner relationship management, and ecommerce. Whether you re a true manufacturer, an assemble-to-order business or a distributor with manufacturing requirements, NetSuite lets you manage your entire business with one integrated Software-as-a-Service (SaaS) suite, delivered on-demand over the Internet. It provides the essential visibility and control of key processes that manufacturers need to compete more effectively in the market. As a SaaS solution, NetSuite lowers your total cost of ownership (TCO) by eliminating costs for on-premise servers and license fees as well as expenses for site-to-site IT support. NetSuite s open architecture enables easy system integration with your supply chain. And with anywhere, anytime access to critical data in the cloud, you gain mobile productivity for further cost savings and efficiency. NetSuite includes specific capabilities for demand planning, production planning, production engineering, shop floor control, manufacturing control, cost control, project control, lot and serial control, and multi-division / multi-site solutions. Manufacturing Needs NetSuite for Manufacturers NetSuite Customers Include: Inventory control Production planning Product Availability Production control Customer service Comprehensive, real-time view Shipping management Financials and budgeting Aftermarket support Real-time inventory management Demand planning Available to promise Work orders and assembly management CRM and real-time updates Role-specific dashboards UPS, FedEx, USPS integration Real-time financials no batch processing Case management and RMAs One Complete Solution to Run Your Manufacturing Business NetSuite helps you manage your entire manufacturing business with one integrated application. With NetSuite, you can: Manufacture products and create assemblies to distribute or sell Create inventory products from raw materials Assemble work orders or assemblies before the sale of the item Determine the cost for an item or assemblies Establish multi-level bills of materials (BOMs) and work orders Support lean manufacturing principles Manage inventory levels to meet appropriate customer SLAs. NetSuite R0312

2 Flexible and Extensible Solution KEY FEATURES Complete on-demand SaaS solution for fast-growing and mid-market manufacturers Role-based, customizable dashboards Integrated CRM, marketing, inventory control, accounting and ecommerce Self-service vendor, partner and customer centers Built-in support for multi-site, multi-language, multi-currency manufacturing operations Since implementing NetSuite Light Manufacturing, we re able to track inventory with a click of a button, drill through the sub-assembly items easily and become more efficient in planning production, purchasing and approving sales orders. Monobind NetSuite allows fast-growing and mid-sized 21st century manufacturing companies to select and deploy only the functionality required and expand their suite capabilities as their business and marketing conditions evolve. NetSuite is easily customized to your unique business needs, and customizations carry over seamlessly with each upgrade to the application. Powerful functionality for Manufacturers NetSuite delivers the functionality that s critical to running a manufacturing business, including: Assembly Management: NetSuite s assembly management capabilities enable you to more effectively manage component quantities and multi-level assemblies. Building on NetSuite s core strength in inventory and warehouse management, NetSuite closely ties assemblies with work orders, allowing multi-level assemblies to be built one level at a time or all at once. Work Orders: NetSuite s work-order capabilities allow manufacturers to readily manage the manufacturing process for production work orders. This lets you replenish standing inventory levels of finished goods or special-order work orders built to exact specifications for a particular customer. NetSuite supports the creation of work orders from sales orders and continuously monitors stock level for automatic restocking and reordering, such as automated purchase order creation to support just-in-time reordering. Production Engineering: NetSuite Production Engineering ensures that changes propagate effectively and intelligently, and that engineering changes are reflected in downstream deliverables, plans and inventories. Capabilities include item master maintenance, BOM maintenance, item and bill of material revision control, and engineering change control. Bill of Materials (BOM): NetSuite s multi-level BOM functionality enables you to cover the components required for a single assembly plus all the components required by a particular work order. Assembly instructions can also be included in the printable BOM in PDF format. Since every build process requires a bill of materials that outlines what components are required to successfully build the finished goods, NetSuite tightly couples BOMs with both assemblies and work orders. Original design manufacturers (ODMs) can better manage their engagements with vendors or contract manufacturers. And original equipment manufacturers (OEMs) can better manage margins and product pricing strategies in the channel. Bill of Materials Inquiry allows at a glance view of availability down to the component level. NetSuite for Manufacturers 2 8 NetSuite 2012

3 B y replacing our old system with NetSuite, we ve gained efficiencies equivalent to six fulltime employees. Netsuite provides insight and control over our entire workflow, from parts procurement through assembly, shipping, delivery and customer follow-up. Sonny Jelinek CEO, Jelinek Cork Group Shop floor Control: Leverage NetSuite s 360-degree visibility to gain more control over work in progress (WIP) and manufacturing operations and management with real-time status updates and seamless data capture to help track, manage and optimize cycle times. Manage the lifecycle of the work order and the routing that s used as a basis for defining the steps or processes that are required in item assembly and manufacture. Cost Allocation: NetSuite ensures that manufacturers can accurately allocate for the costs of a given product ensuring that they can maximize profitability. It not only maintains the single NetSuite element of cost but also provides the ability to track this single total cost unit with as many as eight sub-components of cost. These cost elements can be maintained using either a standard cost method or an average actual cost method. Inventory Control: NetSuite s Inventory Control supports a number of business processes relating to the maintenance of item inventories, inventory valuation and planning and setting of item policies such as lead time and MRP planning. Purchase requisition maintenance for direct material items is also supported in this capability as is a supply/demand review (an output of MRP) that dynamically integrates supply and demand with projected on-hand balances. Demand Planning: NetSuite uses information from sales order management to drive top-level demands. Taking both sales order and forecasted demands, NetSuite delivers a robust yet cost-efficient demand planning solution to discrete manufacturers of all sizes. This single suite solution improves forecast accuracy and responsiveness to ever-changing customer demands to help ensure stock availability with just-in-time ordering. Lot and Serial Control: NetSuite Lot and Serial Control supports NetSuite s lot and serial traceability and provides for an item s lot or serial number to be registered through purchasing receipts, inventory, shop floor control and sales order fulfillment functions. Product History Tracking: NetSuite gives employees critical inventory information by maintaining a complete history for each product assembly and kit throughout the entire lifecycle. When you sell an assembly, you can show it as a single final product, or a final product with all its components individually listed and serialized. You can use a variety of build materials, including inventory, non-inventory and service items to assemble a final product, and use your existing inventory more cost-effectively by undoing builds and re-using their components. The warehouse maintains the complete details of an assembly, leading to more efficient tracking of component levels and improved inventory management. Multi-Division and Multi-Site: Extend manufacturing efficiencies to multiple plants in different locations even throughout the world. Support multiple companies, even if those have multiple divisions with multiple manufacturing sites. Support division-level and inter-site requirements planning with costs processes managed and tracked within divisions. Vary planning policies and inventory policies by division, allowing you to manage your manufacturing business as either a centralized or decentralized engineering and purchasing operation. Project Control: NetSuite Project Control provides extended capabilities for inventory control tracking, planning and costing of items in a project-controlled environment. It enables purchasing of materials and manufacturing to a customer-specific contract. NetSuite Project Control enhances your cost accounting capabilities with deep analytics and tracking controls. This provides online project status information at any point during the lifecycle of a project, allowing you manage customer projects and driving better customer service levels. NetSuite for Manufacturers 3 8

4 Sophisticated Procurement, Inventory and Fulfillment Management From setting up inventory parts to assemblies down to SKUs, NetSuite allows us to efficiently manage our production. Bossa Nova Robotics NetSuite saves manufacturers countless hours of work associated with data entry, organization and fulfillment. You can convert forecasts to orders, orders to shipments and shipments to revenue with unprecedented efficiency. NetSuite s procurement, inventory and fulfillment management offers a complete set of capabilities that provide integrated supply chain management, while NetSuite s purchasing and vendor management capabilities help you reduce spending on goods and services, streamline procure-to-pay processes and ensure compliance with corporate policies. Allows employees to create and track purchase requisitions and orders through a self-service Employee Center that eliminates paper-based forms and associated errors Enforces strong purchase order approval processes with automatic approval routing and digital approvals Provides real-time, detailed visibility into key spend, inventory and supply chain management metrics Multiple location inventory management enables easily managing which warehouse location will receive or fulfill an order Provides comprehensive inventory costing methods including LIFO, FIFO, and average and standard costing Integrated demand planning forecasts required inventory levels based on historical data, sales forecasts, average trends and seasonal fluctuations Integrated Vendor Center provides vendors with self-service access to purchase orders, accounts payable data and other key information Ease of integration enables drop-ship business models Packaged shipping integration with carriers such as UPS, FedEx and USPS. Real-Time Dashboards, Reporting, Analytics and Planning NUCLEUS RESEARCH Manufacturers using NetSuite report average inventory carrying reductions of 20%. NetSuite provides manufacturing businesses with the power of built-in real-time dashboards, reporting and analysis integrated right into the ERP, CRM or ecommerce application that employees use every day. Business users gain personalized visibility into the latest business performance metrics, whether financial, sales, service or marketing performance. Provides personalized, role-based, real-time dashboards and reporting across the company from accounting and sales to ecommerce and support Transparent drill-down from a summary level to greater detail, all the way to the underlying transaction, in just a few clicks Complete self-service reporting enables easy ad hoc report creation, added fields, custom formulas and report sharing. NetSuite for Manufacturers 4 8 NetSuite 2012

5 Integrated financials/erp Powerful Financial Management NetSuite financial management provides comprehensive accounting functionality that accelerates your financial close, provides strong invoicing and expense management, streamlines order and revenue management, and delivers complete real-time visibility and reporting to manage the financials of the business. And because it s fully integrated, it provides significant efficiencies in manufacturing companies finance and operations departments. This proven solution delivers greater productivity through integration, real-time tracking and reports and auditing tools that reduce the overhead typically burdening manufacturers. Provides more than 100 standard reports, including income statements, balance sheets, consolidated reports, variance reports and side-by-side comparisons or easily create and define financial reports according to the needs of your business Flexible general ledger, accounts receivable and accounts payable; supports an unlimited number of general ledger accounts, sub-accounts and segments Automated allocations, currency management tools and period locking simplify the period-end close process Always-on audit trail provides total background into every transaction, such as the author and time of each entry Fixed asset management enables maintenance and control of the complete asset lifecycle across depreciating or non-depreciating assets, from creation to depreciation, revaluation and disposal Accommodates different accounting and business practices across countries and supports local reporting and taxation requirements Full multi-currency accounting support for offices in other countries, or when conducting business with foreign companies. NetSuite for Manufacturers 5 8

6 End-to-End Order-to-Cash Management We looked at Microsoft Dynamics and SAP, but NetSuite s cloud ERP would allow us to reduce the amount of resources required, provide anywhere access and seamless upgrades. Additionally, we were able to move our quote-to-cash and procurement processes to NetSuite. Rob Forand Director of Administration, Epec Engineered Technologies NetSuite fast-tracks your order-to-cash process from quote to order to invoice in a single integrated process that reduces manual effort, eliminates errors and accelerates order management. Converts quotes into approved sales orders and routes them to the finance team for invoicing and revenue recognition Integrates order fulfillment with inventory management and suppliers, improving efficiency at every step Incorporates pricing and discounting rules automatically into the quote process Automates revenue recognition by recognizing rules on how sales orders will be billed and fulfilled Reduces fulfillment errors by electronically routing orders to suppliers for drop shipping Provides real-time visibility into the entire order management process showing orders, trends and order-conversion Automates invoice creation by calculating sales tax, finance charges and discounts based on payment terms Provides flexibility to bill in advance or arrears, and prorate partial months Eliminates data re-entry by easily accepting payments from a wide array of payment vehicles Self-service capabilities enable customers to manage their own billing plans, payment options and information. Multinational and Multi-Company Management NetSuite OneWorld is an optional module that enables you to manage multinational and multicompany business in real time. It manages the financial consolidation required of separate companies or subsidiaries, as well as multiple entities performing marketing and customer support. It also enables the management of distributed sales teams and selling partners, and allows you to dynamically consolidate financial reports on the fly from multiple companies and gather business intelligence in real time. NetSuite OneWorld allows you to drill down to all levels of the underlying business to the item level, the customer, record or to an individual transaction. Only with NetSuite OneWorld can you see consolidated information across all of your companies globally, as well as the specific data you need. Integrated Ecommerce Capabilities for Manufacturers Your website is most customers channel of choice for interacting with your company. NetSuite is the only application provider that offers website hosting and ecommerce as core components of the application. NetSuite s ecommerce functionality helps you leverage the web to grow your business faster and more cost-effectively, and deliver an intuitive and streamlined experience to both customers and partners. NetSuite makes it possible to deliver an Amazon.com-like experience and to better manage and grow the entire business with a fully PCI-compliant and integrated ecommerce system. Website hosting enables deployment of database-driven sites that are always in sync with the rest of the business Accepts real-time payments from different credit cards and international currencies, and supports Google Checkout or PayPal checkout options NetSuite for Manufacturers 6 8 NetSuite 2012

7 NUCLEUS RESEARCH Manufacturers moving to NetSuite found they could increase sales by up to 25% as a result of improved ecommerce capabilities, increased customer satisfaction and salespeople who were more productive and better informed. Supports creation of coupons or discounts on specific items, enables exempting other items from discounts, and automatically delivers upsell recommendations Streamlines order management by transferring orders automatically to accounts receivables and warehouse departments Ecommerce analytics provides search engine analysis, website analytics and reporting, online marketing analytics and more. Sales, Marketing and Service Automation NetSuite enables manufacturers to automate their entire marketing process across channels to better align campaigns and programs with sales efforts. Sales force automation drives your business performance with a totally seamless sales process from opportunity, upsell and quote management to sales forecasting, order management, fulfillment and even sales commissions. Call center management assigns, tracks and escalates cases for faster, more efficient customer service. NetSuite s 360-degree customer view gives marketing, sales and service a complete perspective on the customer. Enables creation, execution and tracking of campaigns in real time to maximize the value of leads and opportunities Delivers marketing from creation to execution to measurement in one system Enables sales and partners to manage opportunities across status, potential revenue, key contacts, notes, related documents and more Provides real-time quote management by incorporating pricing, sales tax and discounting rules automatically into the sales quote Supports sophisticated sales commission plans based on quotas, sales, quantity, profitability and other criteria Case management automates processes associated with customer support case assignment, management and escalation Mobile support, such as NetSuite for iphone, provides salespeople with on-the-go access to calendars, contacts, opportunities and KPIs such as achieved versus quota, actual versus sales forecasts, commissions and more. SuiteCloud Platform NetSuite provides virtually limitless cloud customization to adapt to business change, including sophisticated forms management, graphical workflow management, scripting, web services and more. Businesses that run NetSuite can customize with confidence, as all customizations automatically migrate with every new NetSuite release. With SuiteFlow, power users can quickly create point-and-click rules-based workflows that automate and streamline business processes unique to each subsidiary whether they re implementing an automated collections process or creating rules-based lead nurturing for a specific region. SuiteTalk and SuiteScript, components in the SuiteCloud platform, provide comprehensive web services and procedural logic to support integration and custom business logic, enabling global businesses to weave NetSuite into internal and external systems, and tailor it to support specific business processes. A set of third-party solutions at the SuiteApp ( partner directory offers you additional flexibility to enrich and extend NetSuite. NetSuite for Manufacturers 7 8

8 The SaaS Advantage: Cost of Ownership With SaaS, the economics of managing a business change radically. Because NetSuite hosts the software, it allows businesses like yours to use sophisticated software applications over the Internet, giving you better access to more robust solutions with greater security, management, and economy than most mid-market companies could ever purchase and manage in-house. In addition, NetSuite has been developed and implemented with multiple layers of data redundancy for comprehensive security and business continuity. You can be assured that your data is accurate, accessible and secure. According to a leading analyst firm, the SaaS model can reduce total cost of ownership by 50% or more. In addition to eliminating the initial start-up costs of purchasing traditional licensed software and the servers to run it, SaaS solutions make it easier to plan and budget reliably, since your subscriptions are based on your usage. In other words, you don t pay for functionality you don t want or don t use. Best Financial Management Solution Strategic Partner of IMA Best Cloud Application 2010 AccountingToday The 2011 Top New Products Best Business Software Solution To find out more, contact Cloudtamers Ltd. e. t NetSuite NetSuite for Manufacturers 8 8

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